Full Insurance Coverage on a 6 year old Truck?

Question

Is it worth getting full coverage on a 6 year old Ford Explorer, or should I just get basic liability coverage.

The truck is completely paid for.

Answer 1

I'd get basic liability if I were you. However, if it's not paid off, most lenders will not allow that.

A good way to calculate if it's worth it or not, look at how much will the premium cost. Estimate the cost of the truck using KBB or something like that. See in how many months/years you will pay the insurane comany the full cost of your truck by payng the premiums. Is it worth it?

Answer 2

The actual question you should be asking in helping to determine whether or not to drop your physical damage coverages...how easy would it be for you to replace the vehicle out of pocket if you totalled it? There is a point where it is no longer feasible to carry comp and collision on your vehicle, but it is usually a little later in the vehicles life than just after paying it off.
Find out how much your coverages are costing you per policy term keeping in mind that your deductible is what your out of pocket expense would be in the event of a loss.
Next, visit nada.com to help determine the actual cash value of your vehicle. Compare this to your premium for the coverages.

Also, check into a lower comprehensive deductible than collision. Often you can get a comp deductible as low as $100 for very little more than you pay for a $500 comp deductible. If you live in an area where collisions with animals/weather related damage/or vandalism are likely, I highly recommend against dropping your comp coverage until the value of the vehicle is very low.

Answer 3

straight up

if you have liability and someone with no insc, hits u unless u have uncovered motorist your screwed.
full coverage adjusters will say your truck is totaled when theres 1000. worth of damage to it so consider that,
in my opinion it depends on how much u love your truck, i spent 400 on my lac and i luv it took a chance got liability with uninsured motorist. i figure theres no point in paying 900yr for insurance when my car cost me 400
and they wouldn't pay out more than 1100. ive been driving that car for 4 yrs now so ive saved money to me you just need to remember if u get liability, add a few of the x tras - non ins cured motorist, up the amount of per person per accident amount, these will only raise your premiums a few dollars but will cover all the necessities.

Answer 4

It depends on what you can afford. What is the truck worth? My parents were paying almost half of the value of one of their cars a year to keep full coverage on it. So it wasn't worth it for them. But it may be worth it for you if you could not afford to replace the vehicle if something were to happen. I never kept full coverage on my older vehicles. You can ask the agent, and usually they will help you through it. You can call different ones and ask their opinion, you don't have to ask the person you are buying insurance from.

Answer 5

The larger question is, Is it paid for? If there is a loan outstanding the lender will insist on comprehensive/collision coverage.

If you owe nothing on it, you are much better off with just liability insurance. Drive safely.

Answer 6

Depends on how long you plan to keep it. I would get it fully covered for half of the time you want to keep it. Consider how much it is worth if you were to sell it and ask yourself if you are willing to take a loss on the money. Over time the vehicle is worth less and less, so at what point do you take that gamble?

Answer 7

Can you afford to replace it with no trade in if it's totalled in an accident? If not, keep the full coverage.

Answer 8

Depends.. is it paid off.. does your loan require you to have coverage.. could you afford to fix or replace it should anything happpen.. do you have any assests that will need to be protected in case you get sued in an accident.. ??

Answer 9

i would probably get the basic liability coverage

Answer 10

Liability since you said it is paid for.